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Second Appeal Brief
PA ID# 051-08830-00; Town of Briarcliffe Acres
PW ID# 43; Reasonable Cost
Citation: FEMA-1543-DR-SC; Town of Briarcliffe Acres, Project Worksheet (PW) 43
Cross-reference: Reasonable Cost
Summary: Hurricane Charley generated debris throughout the Town of Briarcliffe Acres (Town) on August 14, 2004. The Town used a Time and Materials contract with DRC, Inc. to make two passes through the Town to remove the debris. It also used its landscaping contractor, Green Up, Inc., to make a final pass. The total for both contracts was $59,425 to remove 226.3 tons of vegetative debris ($262.59 per ton). The Federal Emergency Management Agency (FEMA) obligated PW 43 on February 28, 2005, for $27,156 to remove the disaster related debris from the Town based on a reasonable price of $120 per ton. The Town submitted its first appeal on May 2, 2005, claiming that it should be reimbursed an additional $13,094 for the first 70 hours of the debris clean up performed by DRC, Inc. The FEMA Region IV Acting Regional Director denied the appeal because the Towns debris removal costs were deemed unreasonable. The Town submitted its second appeal on July 15, 2005, claiming it should be reimbursed for the first 70 hours of the debris contract at the contract price. The South Carolina Emergency Management Division supports the Towns appeal for $13,094.
Issues: Is the contract price reasonable?
Findings: No. The total paid by the Town to DRC, Inc. for the first 70 hours of work was $262.59 per ton, which is not a reasonable price for removal of vegetative debris.
Rationale: OMB Circular A-87, Reasonable costs